California Gov. Gavin Newsom says state will provide rebates if Trump removes tax credit for electric vehicles
Source: NBC News
Nov. 25, 2024, 12:46 PM EST / Updated Nov. 25, 2024, 2:17 PM EST
California Gov. Gavin Newsom said the state will provide rebates to residents if President-elect Donald Trump's incoming administration does away with a federal tax credit for electric vehicles. In a news release issued Monday, Newsom said he would restart the state's Clean Vehicle Rebate Program, which provided financial incentives on more than 590,000 vehicles before it was phased out late 2023.
"We will intervene if the Trump Administration eliminates the federal tax credit, doubling down on our commitment to clean air and green jobs in California," Newsom said. "We’re not turning back on a clean transportation future — we’re going to make it more affordable for people to drive vehicles that don’t pollute."
The federal rebates on new and used electric vehicles were implemented in the Inflation Reduction Act that President Joe Biden signed into law in 2022. When Trump's second term in office begins next year, he could work with Congress to change the rules around those rebates. Those potential changes could limit the federal rebates, including by reducing the amount of money available or limiting who is eligible.
Limiting federal subsidies on electric vehicle purchases would hurt many American automakers, including Ford, General Motors and the EV startup Rivian. Tesla, which also builds its automobiles in the United States, would take a smaller hit since that company currently sells more EVs and has a higher profit margin than any other EV manufacturer.
Read more: https://www.nbcnews.com/business/business-news/trump-electric-car-rebates-will-california-will-offer-rebates-rcna181626
= new reply since forum marked as read
